I.M obo K.M v Road Accident Fund (66472/13) [2015] ZAGPPHC 625 (21 August 2015)

I.M obo K.M v Road Accident Fund (66472/13) [2015] ZAGPPHC 625 (21 August 2015)

The court accepted that the minor child suffered significant neurocognitive and psychological impairments as a result of the accident, which would negatively affect her educational achievement and future employment prospects. Expert reports supported the need for ongoing support and a sympathetic work environment. While the plaintiff's attorneys instructed the actuary to apply an 80% contingency deduction, the court found this excessive and not supported by expert evidence. The defendant's proposed 30% deduction was also deemed insufficient given the severity of the injuries and associated risks. The court determined that a 55% contingency deduction was reasonable under scenario 2,...

Citation
[2015] ZAGPPHC 625
Parties
Plaintiff: I. M. obo K. M.; Defendant: Road Accident Fund
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
21 August 2015
Case Number
66472/13
Procedural Posture
Civil Trial / Quantum of Damages
Outcome
The court ordered that the plaintiff be awarded R1,973,926.00 for loss of earning or earning capacity, together with a trust deed and an undertaking in terms of section 17(4)(a) of the Road Accident Fund Act.
Judges
M F Legodi
Legal Topics
Loss of Earning Capacity, Contingency Deductions, Personal Injury, Road Accident Fund Act
Delict Civil Procedure Loss of Earning Capacity Contingency Deductions Personal Injury Road Accident Fund Act

Case Brief

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Parties

I. M. obo K. M.

Plaintiff

Road Accident Fund

Defendant

Procedural Posture

Civil Trial / Quantum of Damages

Legal Issues

  1. 1 What is the appropriate amount to be awarded for loss of earning or earning capacity to the minor child injured in a motor vehicle accident.
  2. 2 What is the correct contingency deduction to apply to the calculation of future loss of earnings.

Ratio Decidendi

The court accepted that the minor child suffered significant neurocognitive and psychological impairments as a result of the accident, which would negatively affect her educational achievement and future employment prospects. Expert reports supported the need for ongoing support and a sympathetic work environment. While the plaintiff's attorneys instructed the actuary to apply an 80% contingency deduction, the court found this excessive and not supported by expert evidence. The defendant's proposed 30% deduction was also deemed insufficient given the severity of the injuries and associated risks. The court determined that a 55% contingency deduction was reasonable under scenario 2,...

Court Disposition

The court ordered that the plaintiff be awarded R1,973,926.00 for loss of earning or earning capacity, together with a trust deed and an undertaking in terms of section 17(4)(a) of the Road Accident Fund Act.

Orders

  • The defendant shall pay the plaintiff the sum of R1,973,926.00 for loss of earning or earning capacity.
  • A trust deed shall be established for the benefit of the minor child.